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sweet [91]
3 years ago
8

On February 15, Jewel Company buys 7,300 shares of Marcelo Corp. common stock at $28.56 per share plus a brokerage fee of $400.

The stock is classified as available-for-sale securities. This is the company’s first and only investment in available-for-sale securities. On March 15, Marcelo Corp. declares a dividend of $1.18 per share payable to stockholders of record on April 15. Jewel Company received the dividend on April 15 and ultimately sells half of the Marcelo Corp. stock on November 17 of the current year for $29.33 per share less a brokerage fee of $250. The journal entry to record the dividend on April 15 is:______.A) Debit Cash $8,614; credit Dividend Revenue $8,614.B) Debit Cash $8,614; credit Interest Revenue $8,614.C) Debit Cash $8,614; credit Gain on Sale of Investments $8,614.D) Debit Cash $7,865; credit Dividend Revenue $7,865.E) Debit Cash $7,865; credit Interest Revenue $7,865.
Business
1 answer:
andriy [413]3 years ago
4 0

Answer:

A. Debit Cash $8,614; credit Dividend Revenue $8,614.

Explanation:

The journal entry for recording the dividend as on April 15 is shown below:

On April 15

Cash Dr (7,300 shares × $1.18 per share) $8,614

       To Dividend revenue $8,614

(Being the dividend is recorded)

For recording this here we debited the cash as it increased the assets and credited the dividend revenue as the revenue is also increased

Therefore the correct option is A.

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Match the file of back order to the goods received on daily basis

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3 0
3 years ago
John purchased 100 shares of Black Forest Inc. stock of at a price of  $150.68 three months ago. He sold all stocks today for  $
GarryVolchara [31]

Answer:

= 32.7%

Explanation:

<em>Return on a stock is the sum of the dividends and the capital gains.</em>

<em>Capital gains = Sales value of stock - Cost of investment</em>

                      = (158.29 -150.68 )× 100

                       = 761

Dividends =  4.69 ×100

                 =469

Cost of investment =150.68   ×100  

Return in %

                    = Total return / cost of stocks  ×100

                   =(761 + 469)/ (150.68   ×100 )  ×100

                   =8.2% for 3 months

Annualized return

                      =( 8.2 %/3 ) × 12

                       = 32.7%

Annualized return= 32.7%

8 0
3 years ago
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